Trump Threatens 50% Tariffs on EU Starting June 1 Amid Stalled Trade Talks

Trump Threatens 50% Tariffs on EU Starting June 1 Amid Stalled Trade Talks

U.S. President Donald Trump threatened on May 23 (local time) to impose a 50% tariff on the European Union (EU) starting June 1, escalating tensions amid stalled trade negotiations.

Expressing frustration over more than a month of deadlocked talks, Trump issued a stark warning that could significantly impact transatlantic trade relations.

In a post on his social media platform, Truth Social, Trump said,

“There has been no progress in negotiations with them. I propose imposing a 50% tariff on the EU starting June 1.”

He added,

“The EU was created to take advantage of the United States in trade. It is extremely difficult to deal with due to its strong trade barriers, value-added taxes, absurd corporate penalties, non-monetary trade restrictions, currency manipulation, and unjust lawsuits against American companies.”

Trump further claimed that the U.S. is suffering an annual trade deficit of $250 billion with the EU as a result of these factors.
He reaffirmed that “there will be no tariffs on goods made in the USA.”

Trump’s statement was posted about four hours before a scheduled call between EU Commissioner for Trade and Economic Security Maroš Šefčovič and U.S. Trade Representative Jamieson Greer, set for 5:30 p.m. Brussels time.

According to the EU, the call had been arranged prior to Trump’s social media post. It follows a recent exchange of formal position papers between the U.S. and EU—marking the first time the U.S. has outlined specific demands since negotiations began. However, the two sides reportedly remain far apart on key issues.

Trump’s timing is being interpreted as a deliberate pre-call warning aimed at pressuring the EU ahead of the high-level trade discussion.

In its latest proposal, the EU offered to:

• Increase purchases of U.S. energy products,

• Strengthen cooperation on 5G and 6G telecommunications,

• Expand collaboration in semiconductors, steel, and automobiles.

Earlier, the EU had also proposed mutual tariff elimination for industrial goods, including automobiles, and expanding imports of less sensitive U.S. agricultural products.

However, Washington has shown little interest in the EU's proposals.

The Financial Times (FT) reported that Greer is expected to reject the EU's proposals and demand unilateral concessions from the EU instead of mutual tariff reductions.

The EU has emphasized that any deal must be mutually beneficial, and strongly opposed a basic tariff framework like the one used in the U.S.-UK deal, which maintains a flat 10% tariff as a default.

Following Trump’s warning, the EU has so far refrained from immediate public comment.

A spokesperson for the European Commission stated that they would withhold any comment until after the scheduled call between Commissioner Šefčovič and USTR Greer takes place later in the day.